The Free to Grow CFO Podcast

Episode SummaryIn this episode of the Free to Grow CFO Podcast, Jon Blair and Roxann Burns delve into the intricacies of SBA loans, exploring their benefits, criteria, and common misconceptions. Roxann shares her extensive experience in SBA lending, emphasizing the importance of understanding cash flow and structuring debt appropriately for business growth. They discuss the nuances of using SBA loans for various purposes, including partner buyouts and business acquisitions, while also addressing the significance of finding the right lender. The episode concludes with practical advice for entrepreneurs looking to navigate the SBA lending landscape effectively.Key Takeaways- It's important to have a solid financial foundation before applying for an SBA loan.- Permanent working capital needs should be financed with long-term debt.- SBA loans can be beneficial during growth spurts for businesses.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Roxann Burns - https://www.linkedin.com/in/roxannburns/Free to Grow CFO - https://www.freetogrowcfo.com/Transcript ~~~00:00 Introduction to SBA Lending and Roxanne's Background03:04 Understanding SBA Loans: Basics and Criteria05:45 The Role of SBA Loans in Business Growth08:57 Permanent Working Capital vs. Revolving Capital12:01 Strategic Debt Structures for E-commerce Brands15:07 Common Misconceptions About SBA Loans32:56 Understanding SBA Loan Processing Times35:36 Negotiating Terms on SBA Loans36:45 SBA Loan Limits and New Programs38:54 Challenges in Manufacturing Financing40:18 Financing Raw Materials and Work in Process41:53 Importance of Cash Flow in Loan Approval43:40 Building Relationships with Lenders46:31 Refinancing SBA Loans47:27 Business Change of Ownership and Partner Buyouts

Episode SummaryIn this mini episode of the Free to Grow CFO Podcast, Jon Blair discusses the critical importance of effective business planning, emphasizing that planning should not be an exercise in prediction but rather in understanding the cause and effect relationships between inputs and outputs. He highlights the risks associated with aligning business inputs around predicted outputs and advocates for a more flexible approach that allows for scenario planning and adaptability in the face of changing business conditions.Key Takeaways:-The biggest failure in business planning is not anticipating failures.-Planning should focus on cause and effect, not just predictions.-Aligning inputs around a predicted output is risky.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Free to Grow CFO - https://freetogrowcfo.com/Transcript 00:00 The Importance of Planning in Business03:37 Understanding Inputs and Outputs in Planning

Episode SummaryIn this episode, Jon Blair interviews Justin Mitchell, a seasoned content creator and entrepreneur, discussing the transformative impact of AI on e-commerce and content creation. They explore misconceptions about AI, practical applications for e-commerce brands, and the importance of data in understanding customer behavior. Justin shares insights on content strategies, the long-term value of content, and the shift in marketing strategies due to AI advancements. The conversation also touches on the future of AI, the significance of recording conversations for insights, and rapid-fire questions that reveal Justin's thoughts on various tools and trends in the industry.Key Takeaways- AI can help brands understand customer behavior better than ever before. - The future of marketing will heavily rely on content-driven strategies.- AI is not just a tool; it's a transformative force in e-commerce.- E-commerce brands should focus on building processes before automating.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Justin Mitchel - https://www.linkedin.com/in/justinmitchel/Free to Grow CFO - https://www.freetogrowcfo.com/Coding For Entrepreneurs - https://codingforentrepreneurs.com/Udemy - https://www.udemy.com/user/justinmitchel/Transcript ~~~00:00 Introduction to Justin Mitchel and His Journey05:01 Understanding AI Misconceptions09:54 Leveraging AI in E-commerce14:48 The Role of Content in AI and E-commerce19:53 The Future of AI and Unstructured Data24:56 The Impact of AI on Consumer Behavior29:51 Opportunities for Brands in the AI Era35:35 The Power of Meaningful Connections38:09 Long-Tail Returns on Content40:01 The Joy of Helping Others41:46 Automation and Systems in Business43:00 Underexplored AI Use Cases in E-Commerce45:34 The Fun Side of Domain Names48:32 Where to Find Justin and His Work50:14 Future Opportunities in Content Creation

Welcome to the Ecom Scaling Show, brought to you by Free To Grow CFO and Aplo Group! Join hosts Jon Blair (Founder, Free to Grow CFO) and Dylan Byers (Co-founder, Aplo Group) as we dive into the crucial—yet often missing—link between marketing and finance in DTC e-commerce. In this episode, Jon and Dylan delve into the intricate relationship between marketing metrics and debt in the context of DTC (Direct-to-Consumer) brands. They discuss how debt can be viewed as a form of capital and the unique risks associated with customer acquisition strategies. The conversation emphasizes the importance of understanding the stability of revenue streams, particularly in relation to first-time customer dominance versus return customer revenue. The hosts also explore the significance of accurate forecasting and the need for strategic growth planning, especially when it comes to inventory management and leveraging debt. They highlight the necessity of involving marketing teams in financial decisions to ensure a cohesive approach to growth and risk management.Key Takeaways-Seasonality significantly impacts revenue and debt repayment.-First-time customer dominant brands are often riskier for debt.-Risk adjusted returns should guide debt financing decisions.00:00 Introduction to Marketing Metrics and Debt 04:05 Understanding Debt as Capital in DTC Brands 07:06 The Impact of Customer Acquisition on Debt 10:07 Navigating Seasonality and Inventory Management 13:06 Risk Assessment in Debt Financing 16:14 The Importance of Marketing Metrics in Debt Decisions 19:15 Strategic Planning for Growth and Debt 22:19 The Dangers of Percentage Growth vs. Dollar Growth 25:16 Forecasting and Collaboration in Marketing 27:58 Post-Debt Decision Metrics and Adjustments 31:15 Splitting the Risk Difference in Inventory Purchases 34:06 Final Thoughts on Marginality and Risk ManagementEpisode LinksFree To Grow CFO: https://freetogrowcfo.com/Aplo Group: https://www.aplogroup.com/Jon Blair on Linkedin: / jonathon-albert-blair Dylan Byers on Linkedin: / dylan-byers-046010149

Episode SummaryIn this episode of the Free to Grow CFO podcast, Jon Blair and KC Holiday discuss the current trends in e-commerce, emphasizing the importance of product quality, effective offer testing, and understanding customer needs. They explore the dynamics between first-order dominant brands and those with high lifetime value (LTV), as well as the significance of leadership and company culture in e-commerce. The discussion also touches on financing methods for e-commerce brands, highlighting the risks associated with certain loan types and the need for strategic financial planning.Key Takeaways-Product is always number one in e-commerce.-Company culture impacts brand perception and customer loyalty.-LTV brands require different strategies than first-order dominant brands.-Data-driven decision-making is essential for e-commerce growth.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/KC Holiday - https://www.linkedin.com/in/kcholiday/Free to Grow CFO - https://www.freetogrowcfo.com/KC Holiday - https://www.kcholiday.com/Transcript ~~~00:00 Introduction to E-commerce Trends01:05 The Importance of Product in E-commerce03:24 Offer Testing and Brand Perception08:17 Understanding Free Shipping and Offers12:29 The Money Game in E-commerce15:12 LTV vs. First Order Dominance21:12 Creative Strategies for Customer Acquisition22:53 The Evolution of Marketing in the Age of AI24:57 Navigating Leadership Challenges in E-commerce26:45 Building a Strong Company Culture33:23 Understanding Financing Options for E-commerce Brands

Episode SummaryIn this episode of the Free to Grow CFO podcast, Jon Blair interviews Anna Brakefield, founder of Red Land Cotton, discussing the challenges and triumphs of scaling a direct-to-consumer brand while managing manufacturing in the U.S. They explore the importance of storytelling in marketing, the complexities of supply chain management, and the balance between family life and entrepreneurship. Anna shares her journey from a creative background to leading a successful business, emphasizing the impact of community and purpose-driven outcomes. Key Takeaways-Manufacturing in the U.S. presents both challenges and opportunities.-Purpose-driven outcomes can lead to sustainable success.-Transparency in the supply chain builds customer trust.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Anna Brakefield - https://www.linkedin.com/in/anna-brakefield-94389734/Free to Grow CFO - https://www.freetogrowcfo.com/Red Land Cotton - www.redlandcotton.comTranscript ~~~00:00 Introduction to Scaling DTC Brands01:55 Anna's Journey to Founding Redland Cotton06:06 The Vision Behind Redland Cotton08:48 Importance of American Manufacturing10:13 The Journey of Guardian Bike13:07 Challenges of Manufacturing and Supply Chain15:52 Building a Team for Growth18:50 Balancing Business and Family Life21:46 Finding Purpose in Business25:01 Community Impact and Responsibility28:12 Future Challenges and Leadership30:49 Conclusion and Resources

Episode SummaryIn this mini episode of the Free to Grow CFO Podcast, Jon Blair discusses the essential functions of a finance team for DTC brands, emphasizing the importance of providing value in the scaling journey. He outlines the key monthly processes that finance teams should implement, including a 15-day close, monthly financial reviews, and strategic meetings with the CFO to ensure informed decision-making and risk management.Key Takeaways:-Your finance team should be providing value and helping you make confident, quality decisions.-Scaling is a series of risk-adjusted bets.-You should have a monthly financial strategy meeting with your CFO.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Free to Grow CFO - https://freetogrowcfo.com/Transcript 00:00 The Role of Finance in DTC Brands01:53 Monthly Financial Processes for Success05:42 Strategic Financial Meetings and Decision Making

Episode SummaryIn this episode of the Free to Grow CFO podcast, Jon Blair and Tony Runyan discuss the current challenges in the logistics and e-commerce sectors, focusing on tariffs, mid-year carrier rate changes, and strategies for managing cash flow and inventory. They explore the implications of bonded warehousing and the importance of understanding the total cost of fulfillment. The discussion highlights the need for brands to adapt to ongoing uncertainties and optimize their operations to maintain profitability.Key Takeaways-Mid-year rate increases are occurring despite lower package volumes.-Bonded warehousing can defer tariff payments but has complexities.-Uncertainty in tariffs is affecting budgeting for brands.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Tony Runyan - https://www.linkedin.com/in/tonyrunyan/Free to Grow CFO - https://www.freetogrowcfo.com/Transcript ~~~00:00 Introduction and Overview of Current Challenges03:00 Navigating Tariffs and Uncertainty05:59 Strategies for Cash Flow Management09:01 Understanding Bonded Warehousing12:03 Mid-Year Carrier Rate Changes16:58 Impact of COVID on Shipping Dynamics20:10 Adapting to Rate Changes20:45 Optimizing Inventory Load Balancing28:08 Conclusion and Future Considerations

Welcome to the Ecom Scaling Show, brought to you by Free To Grow CFO and Aplo Group! Join hosts Jon Blair (Founder, Free to Grow CFO) and Dylan Byers (Co-founder, Aplo Group) as we dive into the crucial—yet often missing—link between marketing and finance in DTC e-commerce. In this episode of the Ecom Scaling Show, Jon and Dylan discuss how much money business owners should pull out of their e-commerce business, focusing on the distinction between salary and distributions, the evaluation of investment returns, risk assessment, liquidity, and the strategic use of debt. They emphasize the importance of understanding personal risk tolerance and creating a structured approach to financial distributions to ensure business growth and sustainability.Key Takeaways-Paying yourself a market salary from day one helps in budgeting and financial planning.-Not all distributions are equal; consider the purpose behind each withdrawal.-Debt can enhance returns but must be managed carefully to avoid increased risk.00:00 Introduction to Ecom Scaling Show00:23 Understanding Profit Distribution06:07 Balancing Internal vs External Investment12:16 Risk Assessment in Business Investments18:43 Liquidity and Reversibility in Financial Decisions24:06 Return on Ad Spend and Business Growth28:04 The Role of Debt in Enhancing ReturnsEpisode LinksFree To Grow CFO: https://freetogrowcfo.com/Aplo Group: https://www.aplogroup.com/Jon Blair on Linkedin: / jonathon-albert-blair Dylan Byers on Linkedin: / dylan-byers-046010149

Episode SummaryIn this episode of the Free to Grow CFO podcast, Jon Blair and Dusty Holcomb discuss the critical role of leadership in scaling businesses profitably. They explore the chaos that often accompanies growth and the importance of clarity and purpose in navigating this chaos. Dusty shares insights on self-leadership, the significance of delegating outcomes rather than tasks, and the necessity of creating space for strategic thinking. The conversation emphasizes the need for leaders to adjust their routines according to life’s seasons and highlights the power of gratitude in leadership. Dusty also introduces Arcqus Group and its mission to empower leaders.Key Takeaways-Leadership is crucial for profitability in scaling businesses.-Delegating outcomes allows for greater team empowerment.-Adjusting routines to fit life’s seasons is important for maintaining effectiveness.-Understanding the difference between growth and scale organizations is key.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Dusty Holcomb - https://www.linkedin.com/in/dustyholcombFree to Grow CFO - https://www.freetogrowcfo.com/Arcqus Group - https://www.arcqusgroup.comLeadership Unlocked Podcast - https://www.leadershipunlockedpodcast.comTranscript ~~~00:00 Navigating the Chaos of Scaling02:43 The Importance of Leadership in Profitability06:01 Chaos vs. Clarity: Finding Your Focus08:42 The Power of Purpose and Vision11:26 Self-Leadership: The Foundation of Effective Leadership14:50 Delegating Outcomes vs. Tasks17:37 Creating Space for Strategic Thinking20:46 Adjusting Routines for Life's Seasons23:48 The Role of Gratitude in Leadership26:43 Impacting Lives Through Leadership29:35 Arcus Group: Empowering Leaders

Episode SummaryIn this mini episode of the Free to Grow CFO Podcast, Jon Blair challenges the dogma surrounding 13-week cash forecasts for DTC brands. While most fractional CFOs swear by them, Jon argues that they’re often unnecessary and waste valuable time. Instead, he shares a more efficient, decision-driven approach to cash forecasting that prioritizes practicality over tradition.Whether you're leading a scaling DTC brand or managing finance ops, this episode will help you rethink how much cash flow visibility you really need—and when.Key Takeaways:-Just because 13-week cash forecasts are common doesn’t mean they’re right for your business.-Weekly cash models should only be activated if monthly projections raise red flags.-Most brands only need 2–6 weeks of weekly visibility to make accounts payable decisions effectively.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Free to Grow CFO - https://freetogrowcfo.com/Transcript 00:00 Rethinking the 13-Week Cash Forecast04:03 Building Cash Forecasts for Decision-Making

Episode SummaryIn this episode of the Free To Grow CFO podcast, Jon Blair and Matt Kyser discuss the intersection of business growth, leadership, and holistic health. They explore the importance of balancing various aspects of life, including work, family, and spiritual well-being, to achieve success and fulfillment. Matt shares his entrepreneurial journey and a framework for effective leadership, emphasizing the need for self-leadership and the role of rest in enhancing productivity. The conversation highlights the significance of marriage and relationships in maintaining balance and offers practical steps for addressing life imbalances through a structured approach.Key Takeaways-Work is a good thing, but it can also be broken.-Self-leadership is essential before leading others effectively.-Addressing imbalances in life can lead to greater productivity.-A four-step process for assessing and improving your holistic health.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Matt Kyser - https://www.linkedin.com/in/matthew-kyser-0b085018b/Free to Grow CFO - https://www.freetogrowcfo.com/RestorRenewal - https://www.restorrenewal.com/Transcript ~~~00:00 Introduction to Leadership and Impact07:09 The Framework of Leadership Levels12:51 Balancing Life's Areas for Success18:04 The Importance of Rest in Work20:33 Marriage and Its Impact on Work23:37 Addressing Imbalance in Life31:23 Holistic Health as a Holy Endeavor

Welcome to the Ecom Scaling Show, brought to you by Free To Grow CFO and Aplo Group! Join hosts Jon Blair (Founder, Free to Grow CFO) and Dylan Byers (Co-founder, Aplo Group) as we dive into the crucial—yet often missing—link between marketing and finance in DTC e-commerce. In this episode of the Ecom Scaling Show, Jon and Dylan delve into the intricacies of merchandising in e-commerce, focusing on how it connects to cash flow planning. They discuss the importance of understanding product pricing, placement, and the overall strategy behind advertising. The conversation highlights common scenarios brands face regarding merchandising strategies, the impact of discounting on consumer perception, and the financial implications of these strategies. The hosts also explore the significance of repeat purchase velocity and the role of debt financing in managing inventory effectively, emphasizing the need for a balanced approach to cash flow and contribution margin.Key Takeaways-Discount strategies should be carefully considered to avoid confusing consumers.-Selling at a loss can sometimes improve cash flow by reducing overstock.-Effective merchandising requires a balance between marketing and financial strategies.00:00 Understanding Merchandising in E-commerce 04:48 Common Scenarios for Merchandising Strategies 07:59 Discount Strategies and Consumer Perception 11:31 Effective Promotion Techniques 17:15 Financial Implications of Merchandising Strategies 21:39 Balancing Profit and Cash Flow 29:02 The Role of Debt Financing in Inventory Management 38:37 Price Testing as a Merchandising ToolEpisode LinksFree To Grow CFO: https://freetogrowcfo.com/Aplo Group: https://www.aplogroup.com/Jon Blair on Linkedin: / jonathon-albert-blair Dylan Byers on Linkedin: / dylan-byers-046010149

Episode SummaryIn this episode of the Free to Grow CFO podcast, Jon Blair and Karl O'Brien discuss the common misconceptions surrounding the profitability of advertising in e-commerce. They explore the importance of understanding unit economics, the distinction between new and returning customer profitability, and the critical role of customer lifetime value (LTV). The conversation highlights the traps brands often fall into when assessing profitability and offers strategies for brands that may not have meaningful LTV. Ultimately, the episode emphasizes the need for a profit-focused mindset in scaling e-commerce businesses.Key Takeaways-Many brands misjudge the profitability of their ads.-Brands should aim for first order profitability based on their business model.-Small operational changes can lead to significant profit improvements.-Attribution models can distract from core unit economics.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Karl O’Brien - https://www.linkedin.com/in/karlobrien/Free to Grow CFO - https://www.freetogrowcfo.com/StoreHero - https://storehero.ai/Transcript ~~~00:00 Introduction 03:03 Understanding Store Hero and Its Mission05:52 Common Traps in Assessing Profitability08:51 Analyzing Unit Economics for Growth11:51 New vs Returning Customer Profitability15:11 The Importance of Customer Lifetime Value17:50 Should Brands Be First Order Profitable?20:57 Strategies for Brands Without Meaningful LTV23:55 The Role of Returning Customer Rate26:46 Final Thoughts on E-commerce Profitability

Episode SummaryIn this mini episode of the Free to Grow CFO podcast, Jon Blair discusses the concept of risk-adjusted bets in the context of scaling Direct-to-Consumer (DTC) brands. He emphasizes the importance of having a great CFO who can help businesses make calculated risks that limit downside while maximizing potential upside. The conversation covers how CFOs can assist in sizing bets, structuring capital, and managing risk effectively to ensure sustainable growth.Key Takeaways:-Understanding what a risk-adjusted bet is and why it matters for your business.-How a great CFO can help you size your bets based on risk levels.-The significance of choosing the right capital structure—debt vs. equity—for your investments.Episode LinksJon Blair - https://www.linkedin.com/in/jonathon-albert-blair/Free to Grow CFO - https://freetogrowcfo.com/Transcript 0:00 Understanding Risk-Adjusted Bets01:52 Sizing Your Bets Wisely04:27 Capital Structure and Risk Management